Zynga IPO set at $10 per share

Zynga's initial public offering to be traded on Wall Street has been long in the making, with the casual game maker having first announced its plans to go public in June. After months of speculation as to how highly that IPO would be valued, Venture Beat reports today that Zynga has priced itself at $10 per share out of the gate.

That figure falls on the upper end of Zynga's expectations, which it laid out as between $8.50 and $10 per share in its most recent SEC filing. At the $10-a-share valuation, Zynga stands to raise $1.5 billion with a valuation of $8.9 billion when the market opens, according to Venture Beat. That figure makes it the largest IPO for a technology company since Google went public in 2004.
Stock in the company will be traded under the ticker symbol ZNGA on the NASDAQ Global Market beginning tomorrow. Zynga disclosed to the SEC that it expects to sell 100 million shares in the company.
Notably, Zynga's opening valuation is substantially lower than initial reports that surfaced when the casual game company first announced its IPO plans. At that time, the company was expected to be valued at $15 billion to $20 billion. Those prospects have been dashed over the past few months, due to concerns over the company's growth prospects and profitability.
As part of its pre-IPO SEC disclosures, Zynga said that its revenues for the first nine months of 2011 stood at $828.9 million, with net income of $30.7 million. Zynga attracts some 227 million monthly and 54 million actively daily users, with games such as CityVille, FarmVille, and Mafia Wars.
via : Gamespot